A couple weeks after WSOP.com in Nevada quietly added PayPal to its list of deposit options, the online payment processing giant has also been added to several New Jersey online gambling sites.
With over 45 million registered users in the United States, the addition of PayPal is a game changer in many people’s eyes.
PayPal’s impact has been modest
The policy change has been a long time coming, and was almost certainly spurred on by PayPal’s split from eBay; PayPal is now listed as a separate company.
So far, the addition of PayPal has reaped only modest benefits for Caesars and 888, and while this could simply be due to the novelty of PayPal, and the fact that PayPal has openly prohibited online gambling transactions from U.S. users since 2001, it could be a result of underlying problems.
It’s possible that a lot of people are unaware PayPal is now available at these sites, considering the quiet way Caesars and 888 have added PayPal to their deposit and withdrawal options.
The only advertisement I’ve received about is a single email that read:
Funding your WSOP.com account just became easier than ever thanks to PayPal.
As a special bonus, we’ll give you a free $10 tournament ticket when you make your next deposit of $100 or more using your U.S. PayPal account. To claim your ticket:
- Click the PayPal icon in the game’s Cashier
- Use the code PAYPAL when you initiate your deposit
This special offer ends September 30, so act now to claim your free tournament ticket. For more information on PayPal and to create your free PayPal account, please click here.
WSOP.com and 888 may be quietly adding PayPal… for now
The lack of awareness and promotion could also be by design. The last thing Caesars and 888 want is for a new ballyhooed payment processing method to fall flat on its face, and there is some evidence that people are having issues depositing with PayPal, with reports indicating PayPal deposits are being declined through no fault of the player or the online gaming site.
According to these accounts (including several first-hand accounts relayed to me), there have been issues depositing with a PayPal business account (as opposed to a personal account), as well as two other more concerning issues.
First, it appears your PayPal email has to match the email on file at the online gaming site you’re depositing at. Considering people have used PayPal for 10-15 years, and routinely use different emails for sensitive financial registrations, this has the potential to be a major, sustained problem.
Second, your PayPal account must be linked to your bank account and not a credit card. Again, this has the potential to be an ongoing issue.
PayPal = good and bad
The addition of PayPal is step in the right direction and should have an impact on payment processing moving forward.
That being said, its early impact is far from a panacea.